Taiwan's Foxconn Technology Group said that the company's flagship Hon Hai unit is finding it difficult to cope with the massive demand for Apple Inc's iPhones.CHENNAI: Taiwanese electronics maker Foxconn is staring at labour strife in Tamil Nadu, where it had shut shop well over a quarter ago. About 490 of its former workers, who had received severance pay and benefits in February, are now demanding their jobs back.

This comes days after Foxconn, most known for manufacturing the iPhone, announced plans to set up a manufacturing facility in Andhra Pradesh. The disgruntled former employees filed a petition with the assistant labour commissioner of Sriperambudur district over a month ago. There have since been four conciliation meetings. Foxconn has submitted it is legally not tenable to raise disputes after a formal settlement was worked out.

"A settlement for severance was concluded with employee representatives on February 12, 2015," Foxconn, had said in a statement earlier. According to people familiar with the mater, an average sum of.`3.26 lakh was fixed as compensation. While many of the company's 1,306 employees accepted the money electronically sent to their salary accounts, hundreds had stuck to their demand for re-employment.

"We still have hope as the Centre is said to be taking steps to revive the Nokia factory. If a phone manufacturer enters Nokia SEZ, there are chances Foxconn might come back," said S Kannan, a trade unionist with CITU, which is supporting the former Foxconn employees. K Rajini, who heads Foxconn India Employees Union, said there was pressure from banks to get salary accounts converted into personal accounts after Foxconn completed severance procedures.